FICA and Freezing of bank accounts

IMCOSA AUGUST NEWSLETTER
Fica and the Freezing of Bank Accounts


More and more foreigners with local bank accounts are experiencing problems when they apply for an extension or change of permit and do not receive their new permits before expiry of the original one. Certain banks have started, systematically and as a matter of policy, to freeze the bank accounts of foreigners on the day that their permits expire. The freezing is done irrespective of whether applications for extensions have been made to Home Affairs, and whether such applications were made well in advance of the expiry date. No intervention has been found to stop or reverse this and letters issued by the regional office of Home Affairs acknowledging responsibility for the delay, or even written support by the Banking Council, have fallen on deaf ears.





The effect of this is that law-abiding persons, apart from having to endure the stress of their new permits not arriving in time and them not being allowed to continue their work or other activity, now have the added pleasure of not being able to access their own funds, of debit orders not being processed, etc.





Fortunately, there are alternatives to this scenario and there are respectable banks who very well understand the problems caused by Home Affairs delays. The freezing of your bank account is therefore avoidable, provided that the necessary steps are taken in advance. Please approach our team if you have questions in this regard or require assistance.






http://imcosa.co.za/en/news/147-immigration-news-aug-2011.html